ABO Wind AG (AB9) AI Stock Analysis

• Market Cap: €322.73M
• Dividend Yield: 6.02%
• Average Volume (3M): 5.06K
• Price to Earnings (P/E): 13.6
• Beta (1Y): 0.56
• Revenue Growth: 81.69%
• EPS Growth: -19.99%
• Country: DE
• Employees: 1,394
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 1.04
• Shares Outstanding: 9,220,893
• 10 Day Avg. Volume: 3,683
• 30 Day Avg. Volume: 5,057
• PEG Ratio: -2.03
• Price to Book (P/B): 1.56
• Price to Sales (P/S): 0.75
• P/FCF Ratio: -45.62
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: €13.00 ▲(25.60% Upside)

ABO Wind AG's overall stock score is primarily influenced by its strong valuation metrics, indicating potential undervaluation. However, significant operational challenges and bearish technical indicators weigh heavily on the score, suggesting caution.

Positive Factors

Revenue Growth

The strong revenue growth indicates successful project execution and increased market demand, enhancing the company's market position and long-term sustainability.

Gross Profit Margin

A healthy gross profit margin suggests effective cost management and pricing power, supporting long-term profitability and competitive advantage.

Industry Position

Specialization in renewable energy positions the company well to capitalize on global trends towards sustainable energy, ensuring long-term growth opportunities.

Negative Factors

Negative Cash Flow

Negative cash flow indicates potential liquidity issues, which could hinder the company's ability to invest in new projects or manage debt effectively.

High Leverage

High leverage increases financial risk and interest obligations, potentially limiting financial flexibility and increasing vulnerability to economic downturns.

EBIT Concerns

The absence of EBIT reflects operational inefficiencies or increased costs, which could impact profitability and require strategic adjustments to improve performance.

ABO Wind AG Business Overview & Revenue Model

Company Description

ABO Energy GmbH & Co. KGaA develops renewable energy projects in Germany and internationally. The company develops, constructs, and sells wind, solar, battery storage systems, and hydrogen projects; and offers operational management and maintenance services for renewable energy plants. As of December 31, 2023, it managed 158 projects with 624 wind turbines and distributed a total of 1,702 megawatts to Germany, France, Finland, Ireland, and Poland. The company was formerly known as ABO Wind AG and changed its name to ABO Energy GmbH & Co. KGaA in July 2024. ABO Energy GmbH & Co. KGaA was incorporated in 1996 and is headquartered in Wiesbaden, Germany.

How the Company Makes Money

ABO Wind AG generates revenue through several key streams. Primarily, the company earns income from the development and sale of wind and solar energy projects. This includes revenue from project financing arrangements, where they may receive upfront payments during the development phase. Additionally, ABO Wind AG has ongoing revenue from the operation of its energy projects, as it typically retains ownership and operates the facilities, selling the generated electricity to the grid or through power purchase agreements (PPAs). The company may also engage in consultancy services related to renewable energy, providing expertise and support to other developers or investors in the sector. Strategic partnerships with local governments, energy providers, and other stakeholders enhance their project opportunities and help secure funding, further contributing to their financial performance.

ABO Wind AG Financial Statement Overview

Summary

ABO Wind AG shows strong revenue growth and healthy gross margins, which are key positives. However, the absence of EBIT and negative cash flows highlight operational and liquidity challenges. The balance sheet indicates increased leverage, necessitating careful management to mitigate financial risks.

Income Statement

ABO Wind AG has shown a robust revenue growth trajectory with a notable increase from €299.7M in 2023 to €446.4M in 2024, marking a growth rate of 48.98%. The gross profit margin for 2024 is healthy at approximately 47.74%, although the net profit margin is lower at 5.73%. Notably, EBIT has dropped to zero, indicating potential operational challenges. EBITDA margin stands at 11.95%, suggesting room for operational improvements.

Balance Sheet

The company's balance sheet reveals a substantial increase in total assets and liabilities, indicating expansion but also higher leverage. The debt-to-equity ratio is 1.48, which is relatively high, suggesting financial risk. However, the equity ratio of 32.41% indicates a stable capital structure. ROE is modest at 12.02%, reflecting steady returns for shareholders.

Cash Flow

The cash flow situation is concerning, with negative operating cash flow of €-3.3M and negative free cash flow of €-7.3M in 2024. The operating cash flow to net income ratio is negative, highlighting cash generation issues from operations. Despite this, financing activities have provided liquidity, offsetting some negative cash flow impacts.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	529.67M	446.37M	299.69M	231.66M	127.11M	149.16M
Gross Profit	150.56M	213.07M	186.01M	78.55M	43.85M	44.34M
EBITDA	56.66M	53.36M	52.51M	45.19M	24.59M	23.86M
Net Income	23.79M	25.59M	27.25M	24.59M	13.80M	13.12M
Balance Sheet
Total Assets	643.18M	656.49M	493.94M	451.26M	297.06M	249.26M
Cash, Cash Equivalents and Short-Term Investments	48.45M	85.16M	46.68M	95.85M	30.16M	62.13M
Total Debt	324.27M	314.90M	213.76M	178.49M	99.62M	72.85M
Total Liabilities	415.54M	443.72M	301.17M	281.21M	147.20M	109.15M
Stockholders Equity	227.62M	212.75M	192.75M	170.02M	149.82M	140.09M
Cash Flow
Free Cash Flow	-67.62M	-7.30M	-67.55M	-22.02M	-55.57M	38.33M
Operating Cash Flow	-62.85M	-3.32M	-63.00M	-16.77M	-52.26M	40.28M
Investing Cash Flow	-8.60M	-7.67M	1.84M	-4.86M	-4.67M	-3.97M
Financing Cash Flow	78.55M	49.05M	10.06M	84.21M	20.29M	7.01M

ABO Wind AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 10.35
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:AB9, the sentiment is Negative. The current price of 10.35 is below the 20-day moving average (MA) of 29.50, below the 50-day MA of 33.08, and below the 200-day MA of 36.93, indicating a bearish trend. The MACD of -5.49 indicates Positive momentum. The RSI at 12.44 is Positive, neither overbought nor oversold. The STOCH value of 4.37 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:AB9.

ABO Wind AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NDX1	71 Outperform	$6.08B	56.20	10.44%	―	1.27%	384.94%
IVU	69 Neutral	€345.82M	27.99	16.55%	1.32%	12.50%	10.93%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
TPE	62 Neutral	€545.49M	25.61	10.84%	―	-8.62%	-38.42%
AB9	61 Neutral	€322.73M	13.57	11.45%	6.02%	81.69%	-19.99%
BYW6	40 Underperform	€1.63B	-0.30	―	―	-11.67%	-1069.47%